Lenovo vows to enter UK consumer space by year-end


Lenovo vows to enter UK consumer space by year-end

Microscope contributor

The German retail market is being used as a test bed for Lenovo's retail desktops but the full blown range is not due to hit the UK till early in the vendor's next financial year.

Gareth Hansford, who until recently was managing Lenovo's business in the UK and Ireland has moved to business development director EMEA and the retail market is one of his focus areas.

"In the next financial year we will launch retail desktop and notebooks in EMEA...and my expectation is the UK will be one of the earlier markets in Western Europe to see the products," he said.

To date Lenovo has established a retail run rate in China but would need to localise the PCs in terms of language and support, and ramp production. Hansford said "It is best to do that is a controlled way"

The recently launched German pilot has seen desk-based machines sold through the Transactional model which the company uses to reach SMEs,

On top of his retail undertakings, Hansford said he was also looking at ways to increase software, services and peripherals attach rates. A successor for the UK managing director is expected to start soon.

Last week Lenovo made 1,400 jobs redundant - roughly five per cent of its global workforce - in an effort to cut its cloth accordingly.

The company expects the reduction to result in £50m cost saving for the fiscal year ended 31 March 2008. In March 2006, Lenovo slashed its workforce by 1,000.

Lenovo has seen its market share decline in the UK and Europe and one industry analyst claimed the company had challenges "virtually everywhere outside of China".

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